JPMorgan Chase Upgrades HashKey (3887.HK) Rating to "Neutral"

May 27 – International investment bank J.P. Morgan released a new research report this week, upgrading the stock rating of licensed digital asset financial service provider HashKey (Ticker: 3887.HK) from “Neutral” to “Overweight” while maintaining its target price of HK$5.00. After attending the recent J.P. Morgan China Summit and meeting HashKey’s management team, the bank said it now has a clearer view of the firm’s near-term business performance and mid-term profit roadmap. J.P. Morgan noted HashKey’s growth is more resilient than expected, and long-term structural tailwinds in the digital asset industry continue to support the company’s outlook. The report added that despite the recent slump in overall virtual asset trading activity, HashKey’s year-to-date (YTD) trading volume has risen year-over-year, fueled by its aggressive expansion in the Hong Kong market. On the financial front, J.P. Morgan projects HashKey’s gross margin will expand by roughly 10 percentage points in fiscal 2026 as trading costs normalize, a shift that will significantly boost the company’s profitability. Strategically, J.P. Morgan highlighted HashKey’s potential in the Real World Asset (RWA) space. The bank forecasts stock tokenization will gain market traction over the next six to 12 months, with HashKey Chain positioned as a core RWA infrastructure layer. Furthermore, the research report emphasized key long-term structural trends in the digital asset market. J.P. Morgan believes trading activity is accelerating its shift from offshore platforms to onshore ones – a move that directly benefits HashKey as a leading licensed institution in Hong Kong. The company’s ongoing initiatives, including stablecoin license applications, payment infrastructure development, plans to launch perpetual futures contracts this year, and work on cryptocurrency options products, will also unlock new revenue streams.